Trade talks with China have been proceeding in a “constructive” manner and a “total reset” is on the cards, according to President Trump.
US officials including Treasury Secretary Scott Bessent have been meeting in Geneva, Switzerland with a Chinese delegation and will resume negotiations today.
It’s hoped they’ll be able to negotiate new terms for trade between the US and China that will allow President Trump’s “reciprocal” tariffs and China’s punitive counter-measures to be reversed, averting a trade war.
“Many things discussed, much agreed to,” Trump wrote in a post on Truth Social on Saturday night.
“A total reset negotiated in a friendly, but constructive, manner.”
Trump then called on China to open its markets to American business, to the benefit of both nations.
“We want to see, for the good of both China and the U.S., an opening up of China to American business. GREAT PROGRESS MADE!!!”
President Trump recently said he was considering lowering tariffs against China, which currently stand at 145% to 80%.
Economic indicators out of China have shown Trump’s tariffs are having a serious effect.
Consumer prices fell for the third month in a row as China grapples with serious deflation.
The consumer price index fell 0.1% in April, following the same drop in March. The producer price index also fell 2.7% in April year or year, from a 2.5% decrease in March.
President Trump has made China the main target of his “reciprocal tariffs,” which were announced at the beginning of last month. The President quickly relaxed his new tariffs on other nations to allow them time to negotiate new trade deals, but maintained duties of 145% on goods from China, with some exceptions.
Beijing has described the tariffs as “bullying,” and imposed its own duties in response, as well as squeezing the supply of vital rare-earth metals and magnets, which it monopolises.
President Trump has said there is a “very good chance” he can reach a deal with Beijing.
Treasury Secretary Scott Bessent and White House economic adviser Kevin Hassett have also expressed hope for progress in easing trade tensions.
“I am confident that the Chinese will want to reach a deal. And as I said, this is going to be a multi-step process. First, we need to de-escalate, and then … we will start focusing on a larger trade deal,” Bessent said in an interview with Fox Business Network.